Title: U.S. Stock Futures Edge Higher as Investors Await Nvidia Earnings and PCE Inflation Data
Investing.com-- As U.S. stock index futures slightly rise on Monday morning, investors are taking a breather after a strong week amidst expectations of a September rate cut from the Federal Reserve. Caution is in the air ahead of key events this week, including earnings from NVIDIA Corporation and the release of PCE inflation data.
The NASDAQ edged up 0.1% to 5,661.75 points, while the Dow Jones rose 0.2% to 19,835.75 points. The S&P 500 remained little changed at 41,289.0 points.
Nvidia is set to report its earnings on Wednesday, with a focus on its ability to sustain stellar growth driven by artificial intelligence. The chipmaker's performance will provide insight into the state of AI demand, following mixed earnings from tech giants like Alphabet and Microsoft.
The PCE inflation data, due on Friday, will influence bets on the size of the expected September rate cut. Comments from Fed Chair Jerome Powell have reinforced expectations for an interest rate reduction next month.
Wall Street indexes are near record highs, driven by optimism over potential rate cuts. However, the Nasdaq lags behind due to profit-taking and concerns surrounding the AI rally. Traders have been shifting focus from tech stocks to value-oriented sectors amidst rate cut expectations.
In conclusion, investors should closely monitor Nvidia's earnings report and the PCE inflation data to gauge the impact on market trends and potential investment opportunities in the coming weeks.